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Dow futures rose by 24 points, or 0.05%. S&P 500 futures dipped 0.03%, while Nasdaq 100 futures fell 0.2%.
Wall Street is coming off a choppy trading session. The 30-stock Dow advanced more than 260 points, or roughly 0.5%, and the S&P 500 eked out a slight gain, helped by a pullback in oil prices following a pause in fighting in the Middle East.
On the other hand, the Nasdaq Composite ended the day down 0.2%, as an unwind in semiconductor stocks weighed on the tech-heavy index.
The tension in the market reflects uncertainty ahead of a big week for stocks. Investors are bracing for earnings results from Amazon, Meta Platforms and Microsoft, as the chip trade hinges on continued spending from the hyperscalers — even as the megacaps themselves falter. Apple also reports this week.
“We’re going to hear from all of the hyperscalers this week that are going to raise capex further. So those stocks might be under pressure,” Stephanie Link, chief investment strategist at Hightower, told CNBC’s “Closing Bell” on Monday. “That’s good as long as the hyperscalers are spending. That’s helping our economy.”
The Federal Reserve is also set to make a rate decision Wednesday. Investors expect that the central bank will remain on hold at the July meeting, but will seek greater clarity on the path forward for monetary policy. Fed funds futures were last pricing in a quarter point hike in September, according to the CME FedWatch Tool.
On Tuesday, traders will monitor the release of the consumer confidence report. Quarterly results from Coca-Cola, UPS, Corning and Boeing are due before the bell.
Investors also will continue to watch oil prices and the bond market. International benchmark Brent crude futures were last below $90 a barrel, amid a pause in fighting between the U.S. and Iran. The U.S. 10 Year Treasury yield had pulled back to around 4.65%.
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